Gold mineralised zone identified at Taho exploration

Axiom Mining Limited

ARBN 119 698 770

Unit 6, 76 Doggett Street Newstead, Queensland 4006, Australia

T: +61 7 3319 4100 | F: +61 7 3252 7577 | www.axiom-mining.com

ASX / Media Release

28 Feb 2014

Gold mineralised zone identified at Taho exploration target, West Guadalcanal Project

HIGHLIGHTS

Axiom has received initial soil, rockchip and trench results for the field work completed at Taho epithermal exploration target

Soil geochemistry:

- 1.4 km long (open) up to 400 m wide anomalous gold-in-soil geochemistry contour defined by >0.1 g/t Au

- including 350 m long of highly anomalous gold-in-soil geochemistry contour (open) defined by >0.5 g/t Au

- up to 2.13 g/t Au and up to 100.5 g/t Ag

Rockchip geochemistry:

- up to 39.75 g/t Au and 51.8 g/t Ag

Hand trenching:

- up to 3.5 m @ 0.84 g/t Au (open) resampling of historical trenches

- up to 8.0 m @ 0.83 g/t Au from new trenches

Pathfinder soil geochemistry is consistent with the mid-upper levels of an epithermal system

Axiom Mining Limited (“Axiom” or “the Company”) is pleased to announce initial surface

geochemistry results from the Taho exploration target (Figure 1) which lies within the Hoilava

epithermal corridor at its West Guadalcanal Project (“the Project”).

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Figure 1 – West Guadalcanal project location and exploration targets

Soil Geochemistry Results

Axiom has collected a total of 1657 B-horizon soil samples on 25 m sample intervals from 100 m

spaced north-south oriented lines. Assays received for 954 samples with returns of up to 2.13 g/t Au

and up to 100.5 g/t Ag hosted in silicified limestone (Figure 2).

The >0.1 g/t Au soil contour defines a continuous gold-in-soil mineralised trend 1.4 km long and up

to 400 m wide (Figure 2). In the east of this mineralised trend there exists a highly anomalous gold-

in-soil mineralised trend (defined by the greater than 0.5 g/t Au contour) that itself is 350 m long.

Both the highly anomalous and the anomalous zone are open to the east (Figure 3).

Elevated pathfinder soil geochemistry (Ag-As-Sb) in proximity to mapped Mn wadding and

carbonate-rich veins supports the exploration model developed by Axiom; which is the mid to upper

level position of a carbonate-rich low sulphidation epithermal gold system.

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Figure 2 – Taho mineralised zone 1.4 km long defined by gold-in-soil anomaly (>0.1 g/t Au contour)

Figure 3 - Highly anomalous gold-in-soil anomaly (defined by > 0.5 g/t Au contour); 350 m long and remains open to the

east

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Rockchip Geochemistry Results

Rockchip sampling at Taho returned up to 39.75 g/t Au and 51.85 g/t Ag (ridge float sample 627392)

in oxidised sulphide replacement of silicified limestone (Figure 4). Five samples from a total of 52

rockchip taken at Taho returned assays greater than 1.0 g/t Au (Table 1).

Figure 4 - High grade ridge float sample 627392 returned 39.75 g/t Au and 51.8 g/t Ag

Table 1 - Summary rockchip Au tenor

Trench Results

Axiom has re-excavated and sampled seven historical hand excavated trenches to validate historical

results (HVTC001-007). In addition, five continuous bench samples were excavated along river and

creek exposures during the course of field mapping and are treated as trenches. Resampling of

historical trenches returned up to 3.5 m @ 0.84 g/t Au and is consistent with historical intercepts.

The location of these trenches is in the lowest tenor portion of the newly defined Au-in-soil contour.

New benches in the north and east of the Taho target area (HVTC011 – HVTC015) retuned a best

interval of 8.0 m @ 0.83 g/t Au along well exposed river cuttings. These results confirm the

existence of broad zones of sub-economic mineralisation at surface and outside of the gold-in-soil

contour mineralised zone currently sampled at Taho.

Total Rockchip <0.1 g/t Au 0.1 – 1.0 g/t Au >1.0 g/t Au

52 29 18 5

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Table 2 - Taho target significant trench results

Trench Name Length

(m)

Easting (WGS84_57S)

Northing (WGS84_57S) Significant Results*

HVTC001 9.0 573345 8955864 No significant results

HVTC002 8.5 573372 8955852 2.0 m @ 0.22 g/t Au (open) HVTC003 7.0 573375 8955861 2.0 m @ 0.44 g/t Au (open) HVTC004 6.0 573352 8955848 No assay > 0.1 g/t Au

HVTC005 8.7 573360 8955880 7.0 m @ 0.19 g/t Au HVTC006 11.0 573344 8955904 No assay > 0.1 g/t Au

HVTC007 13.5 573342 8955904 3.5 m @ 0.84 g/t Au (open) HVTC010 17.0 574275 8957309 4.0 m @ 0.28 g/t Au

HVTC011 19.0 574441 8957165 7.0 m @ 0.71 g/t Au

8.0 m @ 0.83 g/t Au HVTC012 46.0 573230 8957030 3.0 m @ 0.13 g/t Au

6.0 m @ 0.17 g/t Au

1.0 m @ 0.11 g/t Au

1.0 m @ 0.23 g/t Au

1.0 m @ 0.13 g/t Au

1.0 m @ 0.15 g/t Au HVTC013 14.0 573232 8957042 1.0 m @ 0.15 g/t Au

3.0 m @ 0.16 g/t Au (open)

HVTC014 11.0 573230 8957041 No assay > 0.1 g/t Au

HVTC015 24.0 573230 8957030 3.0 m @ 0.54 g/t Au

1.0 m @ 0.12 g/t Au

10.0 m @ 0.136 g/t Au (open) *Notes on calculations: Cuttoff grade 0.1 g/t Au Maximum internal dilution 1.0 m

Ryan Mount, CEO states “These initial results from the West Guadalcanal Project are very

encouraging. Not only do they support the bulk tonnage and high grade potential of the Project but

they also confirm our predictive and systematic approach to exploration.”

About the West Guadalcanal Project

The Project lies in the west of Guadalcanal Island, Solomon Islands comprising 485 km² and is wholly

owned by Axiom. The Project is considered under-explored and highly prospective for Southwest

Pacific style mineralisation, namely:

gold-silver-basemetal epithermal; and

copper-gold porphyry including skarn mineralisation.

ENDS

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About Axiom Mining Limited

Axiom Mining Limited focuses on tapping into the resource potential within the mineral-rich Pacific Rim. Through dedication to forging strong bonds and relationships with the local communities and governments where we operate, Axiom Mining has built a diversified portfolio of exploration tenements in the Asia Pacific region. This includes a majority interest in the Isabel nickel deposits in the Solomon Islands. The Company also owns all or majority holdings in Vietnam’s Quang Tri gold project and highly prospective gold silver and copper tenements in North Queensland, Australia. The Company is listed on the ASX.

For more information on Axiom Mining and details on our activities, please refer to our company website at www.axiom-mining.com.

Disclaimer Statements in this document that are forward-looking and involve numerous risks and uncertainties that could cause actual results to differ materially from expected results are based on the Company’s current beliefs and assumptions regarding a large number of factors affecting its business. There can be no assurance that (i) the Company has correctly measured or identified all of the factors affecting its business or their extent or likely impact; (ii) the publicly available information with respect to these factors on which the Company’s analysis is based is complete or accurate; (iii) the Company’s analysis is correct; or (iv) the Company’s strategy, which is based in part on this analysis, will be successful.

Competent Person's Statement The information in this announcement that relates to Exploration Results is based on information compiled by Mr Jess Oram who is a member of the Australian Institute of Geoscientists. Mr Oram has sufficient experience that is relevant to the styles of mineralisation and types of deposit under consideration and to the activity which is being undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.’ Mr Oram is a full time employee of Axiom Mining Limited and consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

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Axiom Mining Limited

ARBN 119 698 770

Unit 6, 76 Doggett Street Newstead, Queensland 4006, Australia

T: +61 7 3319 4100 | F: +61 7 3252 7577 | www.axiom-mining.com

ASX / Media Release

28 Feb 2014

Section 1 Sampling Techniques and Data

Criteria JORC Code explanation Commentary

Sampling

techniques

Nature and quality of sampling (eg cut

channels, random chips, or specific

specialised industry standard measurement

tools appropriate to the minerals under

investigation, such as down hole gamma

sondes, or handheld XRF instruments, etc).

These examples should not be taken as

limiting the broad meaning of sampling.

Include reference to measures taken to

ensure sample representivity and the

appropriate calibration of any measurement

tools or systems used.

Aspects of the determination of

mineralisation that are Material to the

Public Report.

In cases where ‘industry standard’ work has

been done this would be relatively simple (eg

‘reverse circulation drilling was used to

obtain 1 m samples from which 3 kg was

pulverised to produce a 30 g charge for fire

assay’). In other cases more explanation may

be required, such as where there is coarse

gold that has inherent sampling problems.

Unusual commodities or mineralisation types

(eg submarine nodules) may warrant

disclosure of detailed information.

Trenches hand excavated to 1.5 m depth or to C-

horizon subcrop. Bench exposures along river

cuttings cleaned.

Sampled at the base of trenches and benches in

continuous cut channels with samples aggregated

over measured 0.5 m, 1.0 m or 2.0 m intervals.

Rockchip sampling techniques as either float –

transported rock, grab – random sample of in-situ

rock or channel – 1m cut channel over measured 1.0

m interval to ensure appropriate representation

Soil sampling of up to 1 kg B-horizon soil profile at

0.75 m depth below surface. Sampling at 25 m

intervals along either 100 m or 50 m spaced lines.

Samples designated as either transported / unknown

/ residual to ensure appropriate representation.

Trenching samples obtained from cut channels at 0.5

m to 1.0 m intervals weighing less than 2.0 kg and

rockchip / soil samples weighing approximately 1.0

kg were transported to Intertek Laboratories in

Honiara for sample preparation prior to fire assay for

Au and aqua-regia digest for ICP finish at Intertek

Laboratories, Townsville; for the following multi-

element suite and lower detection limit in ppm (Ag

(0.05), Al (20), As (1), Ba (2), Bi (0.01), Ca (100), Cd

(0.01), Co (0.1), Cr (2), Cu (1), Fe (100), Hg (0.01), In

(0.01), K (20), Mg (100), Mn (1), Mo (0.1), Na (100),

Ni (1), P (20), Pb (1), Rb (0.02), S (50), Sb (0.02), Sn

(0.05), Sr (0.02), Te (2), Th (0.01), U (0.01), V (2), W

(2), Zn (1)).

Drilling

techniques

Drill type (eg core, reverse circulation, open-

hole hammer, rotary air blast, auger,

Bangka, sonic, etc) and details (eg core

diameter, triple or standard tube, depth of

diamond tails, face-sampling bit or other

No new drilling reported in this release.

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type, whether core is oriented and if so, by

what method, etc).

Drill sample

recovery

Method of recording and assessing core and

chip sample recoveries and results assessed.

Measures taken to maximise sample

recovery and ensure representative nature of

the samples.

Whether a relationship exists between

sample recovery and grade and whether

sample bias may have occurred due to

preferential loss/gain of fine/coarse

material.


Logging Whether core and chip samples have been

geologically and geotechnically logged to a

level of detail to support appropriate Mineral

Resource estimation, mining studies and

metallurgical studies.

Whether logging is qualitative or

quantitative in nature. Core (or costean,

channel, etc) photography.

The total length and percentage of the

relevant intersections logged.

Logging of geology, alteration and geotechnical

aspects have been recorded in Trenches to

requirements for diamond core drilling.

Trenches / benches have been photographed.

The entire interval trenched to bedrock has been

logged.

Sub-sampling

techniques and

sample

preparation

If core, whether cut or sawn and whether

quarter, half or all core taken.

If non-core, whether riffled, tube sampled,

rotary split, etc and whether sampled wet or

dry.

For all sample types, the nature, quality and

appropriateness of the sample preparation

technique.

Quality control procedures adopted for all

sub-sampling stages to maximise

representivity of samples.

Measures taken to ensure that the sampling

is representative of the in situ material

collected, including for instance results for

field duplicate/second-half sampling.

Whether sample sizes are appropriate to the

grain size of the material being sampled.

No new drilling results reported in this release.

Field duplicates comprising 4% of total batch taken

for all sampling. Additional field duplicates taken

from zones of mineralisation in trenching that are

identified through trench mapping

Samples are dried, crushed and pulverised to 75 microns. No tests have been undertaken to determine the grain size of gold.

Quality of assay

data and

laboratory tests

The nature, quality and appropriateness of

the assaying and laboratory procedures used

and whether the technique is considered

partial or total.

For geophysical tools, spectrometers,

Fire assay is appropriate for the nature of the gold

mineralisation being assayed.

Use of certified reference material (CRM)

comprising about 8% of each sample batch is

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handheld XRF instruments, etc, the

parameters used in determining the analysis

including instrument make and model,

reading times, calibrations factors applied

and their derivation, etc.

Nature of quality control procedures

adopted (eg standards, blanks, duplicates,

external laboratory checks) and whether

acceptable levels of accuracy (ie lack of bias)

and precision have been established.

considered acceptable to assure levels of accuracy.

Duplicate sampling comprising about 4% of each

sample batch is acceptable to assure levels of assay

precision.

Verification of

sampling and

assaying

The verification of significant intersections by

either independent or alternative company

personnel.

The use of twinned holes.

Documentation of primary data, data entry

procedures, data verification, data storage

(physical and electronic) protocols.

Discuss any adjustment to assay data.


Location of data

points

Accuracy and quality of surveys used to

locate drill holes (collar and down-hole

surveys), trenches, mine workings and other

locations used in Mineral Resource

estimation.

Specification of the grid system used.

Quality and adequacy of topographic

control.

All sample locations surveyed using hand held

garmin GPS with accuracy ±10m.

Trenches surveyed from handheld GPS start point

using tape and compass. This level of accuracy is

deemed sufficient in the early stages of the project.

Data spacing

and distribution

Data spacing for reporting of Exploration

Results.

Whether the data spacing and distribution is

sufficient to establish the degree of

geological and grade continuity appropriate

for the Mineral Resource and Ore Reserve

estimation procedure(s) and classifications

applied.

Whether sample compositing has been

applied.

Soil sampling data is at 25 m spaced samples on 100

m spaced lines. This is adequate for determining

continuity mineralised zones in soil contours.

All samples surveyed in coordinate system

UTM_WGS84_Zone 57S.

No compositing has been applied.

Orientation of

data in relation

to geological

structure

Whether the orientation of sampling

achieves unbiased sampling of possible

structures and the extent to which this is

known, considering the deposit type.

If the relationship between the drilling

orientation and the orientation of key

mineralised structures is considered to have

introduced a sampling bias, this should be

Due to the nature of tropical jungle soil weathering,

it is too early to determine bias as not enough

structural information is available. The nature of

key mineralising structures has not been established

in trenching.

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assessed and reported if material.

Sample security The measures taken to ensure sample

security.

A chain of custody procedure has been

implemented by the company from site to Intertek

Honiara.

Audits or

reviews

The results of any audits or reviews of

sampling techniques and data.

No audits have been undertaken.

Section 2 Reporting of Exploration Results


Mineral

tenement and

land tenure

status

Type, reference name/number, location and

ownership including agreements or material

issues with third parties such as joint

ventures, partnerships, overriding royalties,

native title interests, historical sites,

wilderness or national park and

environmental settings.

The security of the tenure held at the time

of reporting along with any known

impediments to obtaining a licence to

operate in the area.

Axiom Mining Limited wholly owns exploration licence

PL01/14 located in the west of Guadalcanal Island,

Solomon Islands.

No other agreements or material issues associated

with the licence.

No impediments to access. Axiom has full access to the

tenement under the same surface access agreements

with indigenous landowners as previous tenement

holder. A new surface access agreement is being

finalised.

Exploration

done by other

parties

Acknowledgment and appraisal of

exploration by other parties.

1954 – Solomon Islands Geological Survey notes

sulphides in Hoilava catchment

1970 - Carpentaria Exploration Company Pty Ltd (CEC).

Six month stream sediment and mapping program

discovers altered and mineralised outcrop and float in

Hoilava catchment.

1986 – 1988, BHP Utah were the first company to

target specifically epithermal mineralisation.

Identified anomalous gold values and sporadic zones

of siliceous, argillic and pyritic alteration in the

headwaters of the Hoilava catchment. Loosely

identified Polo, Taho and Mt Tanjili areas.

Austpac Gold NL (and from 1988 in JV with Nuigini

mining through to 1990). Trenching at Polo Creek

returned 130 m @ 0.58 g/t Au, including 10 m @ 3.44

g/t Au.

1994 – 1998 Gualer Resources completed 100m

spaced airborne magnetics and radiometrics which

covers about half of the current project area. Soil and

trench sampled at Hoilava, the best results reported as

being 37.6 m @ 1.03 g/t Au.

Geology Deposit type, geological setting and style of

mineralisation.

The regional tectonic and geological settings of the

project is similar to that of major porphyry copper-gold

and epithermal gold deposits elsewhere within the

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southwest Pacific island arc system including the

Panguna porphyry copper (and Gold Ridge epithermal

gold deposits that lie within the same volcanic arc and

in Gold Ridge’s case, island and are associated with

similar aged igneous rocks. The Solomon Islands are

part of the currently active Outer Melanesian Arc

System, lying on a complex convergent boundary

between the Indo-Australian and Pacific Plates They

are composed of a diverse assemblage of rocks of Late

Mesozoic to Cainozoic age that have formed and

accreted within an intra-oceanic environment.

Drill hole

Information

A summary of all information material to

the understanding of the exploration results

including a tabulation of the following

information for all Material drill holes:

easting and northing of the drill hole

collar

elevation or RL (Reduced Level –

elevation above sea level in metres) of

the drill hole collar

dip and azimuth of the hole

down hole length and interception

depth

hole length.

If the exclusion of this information is

justified on the basis that the information is

not Material and this exclusion does not

detract from the understanding of the

report, the Competent Person should clearly

explain why this is the case.

Significant trench results are reported in Figure 1.

Trench lengths and trenches which returned no

significant mineralisation are also reported to enable

balance of reporting and exclusion of the entire

dataset does not detract from the understanding of

the report.

Data

aggregation

methods

In reporting Exploration Results, weighting

averaging techniques, maximum and/or

minimum grade truncations (eg cutting of

high grades) and cut-off grades are usually

Material and should be stated.

Where aggregate intercepts incorporate

short lengths of high grade results and

longer lengths of low grade results, the

procedure used for such aggregation should

be stated and some typical examples of

such aggregations should be shown in

detail.

The assumptions used for any reporting of

metal equivalent values should be clearly

stated.

For trench sampling, length weighing calculations with

a maximum 1 m internal dilution have been applied

For significant rockchip and trench sampling a cutoff of

0.1 g/t Au has been applied.

No metal equivalent values reported.

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Relationship

between

mineralisation

widths and

intercept

lengths

These relationships are particularly

important in the reporting of Exploration

Results.

If the geometry of the mineralisation with

respect to the drill hole angle is known, its

nature should be reported.

If it is not known and only the down hole

lengths are reported, there should be a clear

statement to this effect (eg ‘down hole

length, true width not known’).

No drilling results reported in this release

Diagrams Appropriate maps and sections (with scales)

and tabulations of intercepts should be

included for any significant discovery being

reported These should include, but not be

limited to a plan view of drill hole collar

locations and appropriate sectional views.


Balanced

reporting

Where comprehensive reporting of all

Exploration Results is not practicable,

representative reporting of both low and

high grades and/or widths should be

practiced to avoid misleading reporting of

Exploration Results.


Other

substantive

exploration data

Other exploration data, if meaningful and

material, should be reported including (but

not limited to): geological observations;

geophysical survey results; geochemical

survey results; bulk samples – size and

method of treatment; metallurgical test

results; bulk density, groundwater,

geotechnical and rock characteristics;

potential deleterious or contaminating

substances.

Geological mapping by Axiom confirms significant

zones of mineralisation and alteration associated with

an epithermal system occurs in the target areas.

All soil and rockchip sample locations are shown in

Figure 1 and Figure 2. Anomalous soil results are

labelled with Au grade in g/t in Figure 2.

Further work The nature and scale of planned further

work (eg tests for lateral extensions or

depth extensions or large-scale step-out

drilling).

Diagrams clearly highlighting the areas of

possible extensions, including the main

geological interpretations and future drilling

areas, provided this information is not

commercially sensitive.

Axiom is targeting the western Hoilava area and will be

undertaking further trenching, systematic soil

sampling, geological mapping and airborne magnetics

prior to planned drill program in mid-2014.

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Documents

Gold mineralised zone identified at Taho exploration